In 2022, Paolo Ardoino, CTO of Tether, recapped the year’s challenges and resilience at Paris Blockchain Week. He highlighted Tether’s ability to withstand pressure, including a public prediction about the downfall of competitor Terra Luna.
Paolo detailed a coordinated attack on Tether, where attackers attempted to short USDT and create a bank run. Tether managed to redeem $25 billion USDT in under a month, proving its liquidity and stability. He drew parallels to traditional banking failures, emphasizing Tether’s robustness.
In 2023, Paolo pointed out the failures of major US banks and contrasted Tether’s strategy of maintaining a simple, liquid reserve balance sheet primarily in US Treasury bills. Tether’s holdings in US Treasury bills have solidified its relationships with financial institutions.
Reflecting on past challenges, Paolo acknowledged Tether’s naivety in handling FUD and stressed the importance of transparency. Tether now partners with BDO for quarterly attestations to ensure trust.
Paolo concluded by emphasizing the strategic importance of perfect decision-making and maintaining financial stability in the long term.
